In July of 2014, the most important events of in the history of financial market in the GCC (Gulf Cooperation Council) has been announced. Saudi Arabia has approved to open its equity market to direct foreign investment and CMA has drafted rules for Qualified Foreign Institutions. Its equity market (Tadawul) valued around USD 530 billion and which will open an opportunity for the largest global investment funds to inject their funds into one of the most lucrative emerging markets. However, once the announcement hit the news, Tadawul market index hit the 10,000 point for the first time in six years as the market react with optimism over the news. The Saudi Stock market was limited to Saudi and GCC investors only and for those outside of the region, their only way of investing is through swaps and mutual funds (Butt, 2014). However, different institutional investors either in the region or globally has received the news with optimism for long-awaited golden opportunity as the biggest economy in middle east has opened its door to qualified institutional investors. Bassel Khatoun, the head of MENA equities at Franklin Templeton Investments said "As the largest equity market in the Middle East and North Africa, this will certainly put the region back on international investors ' radar and is likely to be transformative for regional equities,” Also some analysts thinks that Saudi Arabia could be similar to China’s qualified foreign institutional investor plan when the Chinese
As well as significant events that occurred on September 11, 2001, the associated risks in international relations has increased substantially, and it becomes more difficult to be analyzed and predicted for decision-makers in the fields of Economics, finance and politics. International investors are also aware that the globalization of world trade and capital market openness poses a risk that could cause the financial
Saudi Arabia is one of the most conservative Islamic states. The Islam is the religion that dominates all aspects of the citizen’s lives. The Islamic interpretations effects the politics, economics, businesses, and communications with other nations. For instance, Saudi Arabia and The United States have different views
Qatar, this insignificant in size country, has developed into fairly notable nation due to the development that has occurred across every spectrum analyzed. The IMF’s (International Monetary Fund) Managing director Christine Lagarde indicated that Qatar, ““Qatar has been one of the fastest growing countries in the region and
Egypt today can be a viable market for the foreign investor, especially the investor who has the ability to see the rewards of in investing in the region for the long haul. The world and Egypt both realize that the region is the gateway to the Middle East. Egypt is leading the way for Arabic countries to embrace a new way of doing business and opening their borders to the ‘global village’ concept.
We believe we couldn’t have chosen a more exciting period to begin this venture. The global economy is being affected by several circumstances that increase financial uncertainty. For instance, the price of oil is near all-time lows, which has put significant pressure on Emerging Markets that have high exposure to the swings in the price of petroleum (e.g. Venezuela, Mexico). Furthermore, a majority of financial experts and analysts suggest that Latin American markets will continue to decline. The US dollar has appreciated in the last few quarters while the Yen has depreciated due to deceleration of China’s economy. Commodities’ prices are very far from their all-time highs. The US Federal Reserve has decided to stop their Quantitative Easing policy and, therefore, increased the interest rates for the first time since 2006. Meanwhile, the yield of bonds continues to decrease, and
Financial markets can have several different meaning to many people. They are found all over the world. Some are small and some are large. For example, the New York Stock Exchange, which trade trillions of dollars daily. A financial market is a place where buyers and sellers trade financial securities and other assets.Here, the groups of agents meet to exchange their goods or services. The first group is referred to as lenders, while the second group is referred to as the borrowers of funds. Financial markets typically have “transparent pricing, basic regulations and governing bodies, costs and fee and prices determine by supply and demand.” If the demand remains steady, the supply increases as the prices decline and vice versa. If the supply remains steady, the demand rises as the prices rises and vice versa (Ireland, 2013).
Foreign exchange ________, on the other hand, earn a profit by bringing together buyers and sellers of foreign currencies and earning a commission on each sale and purchase.
Rewinding all the way to the end of the Cold War, one can see that as the rest of the world advanced, the Middle East staggered behind. On top of their broken education system, their lands didn’t have much to offer besides oil. Therefore, some of the only people to benefit from investments by foreign investors were corrupt officials and their cronies. These same governmental leaders would show
Saudi- Arabia is in the Middle East and it also an Islamic country which Jabwood international is familiar with that market.
Iran, Saudi Arabia, United States and Russia have characteristics in common, all these four nations have been facing hostile conditions, the population living in poverty because of government conflicts and ongoing wars against each other. At some point national safety was interrupted by terrorist attacks in the U.S, turning the most powerful nation into safety vulnerability, facing social un-comfortability and security concerns, Russia and the national safety strategy created to protect the national interest. Politics, economy, culture, easiness of doing business and so on are important topics to consider for any multinational decision, over Middle Eastern countries. Iran and Saudi Arabia international investment strategies, political risk, and sociopolitical concerns are some of the topics that bring relevance in the last decade. Oil is in which Iran and Saudi Arabia economy is based. Iran has had faced economic sanctions because of the pretended support of terrorism. Forward in struggling situations, Middle East countries has limited economic relationships with U.S. Members of the government in the Middle East are the concern to increase investment and grow the level of opportunities, delivering strategies to promote investors to set operations in Middle Eastern nations as Iraq and Saudi Arabia. The social effects that terrorism caused is fear and disconcert in government.
Dubai is usually described as a city or country despite in its own right though it's a constituent member of the United Arab Emirates that has six other emirates. The emirate experienced a huge financial crisis that had a huge impact on several economies across the globe as reported by analysts. The financial crisis was characterized by the government's inability to refinance massive debts that was taken by Dubai World, its largest owned company. The major impact of the crisis across the globe contributed to panic situations in financial markets since banks and financial companies experienced losses in global markets.
The UAE is one of the riches nations in the world as measure by per capita GNP. The economy is primarily based on the oil
The modern Kingdom of Saudi Arabia was established by the King Abdulaziz bin Abdelrahman Al-Saud in 1932 (Al-Turaiqi, 2008; Albassam, 2011; BTI, 2012; Hamzawy, 2006; Peterson, 1984; UN, 2004). Saudi is a big country with 13 provinces (mintaqah) and 1,600, 000 km2 (Albassam, 2011; UN, 2004). Saudi has the largest reserves of oil in the world (UN, 2004). The political system in Saudi is Monarchy since the day of Unification of the Kingdom (23 September, 1932) (Al-Turaiqi, 2008; Albassam, 2011; BTI, 2012; Chatham, 2011; Hamzawy, 2006; Matthes, Otto, & Schützhold, 2007; Peterson, 1984; UN, 2004). This profoundly traditional kingdom has “undergone socioeconomic transformation” to the level perhaps no resembling anywhere else in the
Next we should discuss some of the similarities and contrasts between the two countries. the most important contrast between these countries that is related to the study objective, UAE statistical SMEs report, shows that the dominate SMEs sector is the trade sector (60%) such as retail sector, consumer goods trading or garments trading. the second sector is services (35%) such as contracting industry and tourist-focused services. the Sector that is ripe for development in the UAE, is manufacturing (5%), such as auto parts or IT components. On the other hand, SMEs GDP contributions in Canada were highest from agriculture, then health, and then education. Where mining, information, and manufacturing are less contributions to the GDP. However, the concentration in the economic activity in UAE are in sectors with limited productivity growth, such as tourism, retail trade, and construction. In addition, exports are concentrated in gold and jewelry as well as tourism and transportation services. While in Canada the concentration in the economic activity in sectors with higher productivity growth such as agriculture.
Term variable Definition: A quantity, usually represented as a symbol that can take on one of a set of values. Variables play a key role in the scientific method and economic analysis. A major task undertaken by the study of economics is to identify the specific value of variables such as price, quantity, unemployment, production, wages, income, among a host of others. This often accomplished using assorted models, such as the market model.